House prices 'fall in May'

Posted: 08 Jun 2010 12:36:31 GMT

The housing market appears to be slowing down after results from Halifax showed a 0.4 per cent fall in house prices in May.

This followed the slight 0.1 per cent dip in April, meaning the average cost of a property in the UK is now £167,570.

Martin Ellis, housing economist for the company, said: "The mixed pattern of monthly price rises and falls so far this year is consistent with a slowing market."

He suggested that the trend may continue during 2010, with house prices remaining flat throughout the year.

The report highlighted that the relative growth of 2009 has lost some momentum over the last couple of months, while a further rise in unemployment is curbing housing demands.

Property prices are still higher than 12 months ago, with the figures showing a 6.9 per cent increase over the past year.

These statistics are not in line with those released by Nationwide, which recorded a 0.5 per cent rise in May compared to the previous month.



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